Laith Khalaf, senior analyst at Hargreaves Lansdown, said:"Bond funds were the winners from the post-Brexit fund bounce, as a result of loose monetary policy grinding into gear once again. Investors clearly decided not to fight the Old Lady of Threadneedle Street, and to just go with the flow.

"That has certainly been the right call since quantitative easing was introduced seven years ago, though bonds are yielding ever less, while monetary policy is surely bumping up against the law of diminishing returns.

"Meanwhile investors are not quite as convinced that monetary stimulus is going to feed through into the stock market, as equity funds continued to see selling pressure."